Ultimately, your life belongs to only one person, and that is yourself. It is for this reason that every decision that you make in life, both the good and the bad, are in fact your fault. If a lending institution decided to outright lie to someone about the terms of their loan, then obviously these folks were not at fault, because the erroneous information they were presented, caused them to make a bad decision. However, the claim that these folks did not "know any better" is equivalent to removing personal responsibility from their decision. No one is entitled in life to more than what their own mind and decision making ability can get for them. If you choose to make bad decisions then you should have to live with the results. Everyone in their lives make mistakes, and hopefully they are small and you learn from them.
It drives me crazy listening on the news to the govt attempting to pass a bill to "bailout" all of these folks loosing their homes due to "predatory lenders". Was there some form of coersion that went on in the bank that I am not aware of? Did the loan officer produce a gun and force these people to sign up to a mortgage they could never hope to pay back? What about the banks themselves? They have lost millions of dollars in defaulted loans. Should the govt bail them out too, because the loan officers did not "know any better" as well? If the claim is to be made that someone needs to be helped because they "do no know any better", then I would make the claim that there are places these folks can go where they do not have to make any decisions anymore at all. Although completely safe, a life devoid of having to make decisions for myself is not a life I would choose to have. I appologize if this sounds cold to anyone, but the truth often is.